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NY State Legislature· A7613-2025Signed by Governor

Reforms the education requirements for persons who want to become certified public accountants, the official text

Shown verbatim: the complete text as captured from the official source posted by the New York State Senate, fetched 2026-08-11. Nothing is edited or removed. Where this bill amends existing law, language marked for deletion in the official source appears here in brackets. The official bill page.
S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7613--B
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               April 1, 2025
                                ___________
 
 Introduced  by  M.  of A. PEOPLES-STOKES, HYNDMAN, BUTTENSCHON, LUPARDO,
   WIEDER, CLARK, REYES, GRIFFIN, BURDICK,  McDONALD  --  read  once  and
   referred to the Committee on Higher Education -- committee discharged,
   bill  amended,  ordered  reprinted  as amended and recommitted to said
   committee -- again  reported  from  said  committee  with  amendments,
   ordered reprinted as amended and recommitted to said committee
 
 AN  ACT  to  amend  the  education  law,  in  relation to clarifying the
   requirements for a certified public accountant
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraphs 2, 3 and 4 of subdivision 1 of section 7404 of
 the education law, as amended by chapter 651 of the laws  of  2008,  are
 amended to read as follows:
   (2)  Education:  have received an education, including a bachelor's or
 higher degree or a foreign equivalent  [based  on]  FROM  A  PROGRAM  IN
 ACCOUNTANCY  THAT  IS REGISTERED BY THE DEPARTMENT, OR DEEMED COMPARABLE
 TO A REGISTERED PROGRAM AS DETERMINED BY THE  DEPARTMENT.  TO  MEET  THE
 PROFESSIONAL  EDUCATION  REQUIREMENTS FOR LICENSURE, THE APPLICANT SHALL
 PRESENT SATISFACTORY EVIDENCE OF COMPLETION OF ONE OF THE FOLLOWING:
   A. A CURRICULUM OF AT LEAST ONE HUNDRED TWENTY  SEMESTER  HOURS  IN  a
 program  in  accountancy,  [in  accordance with the commissioner's regu-
 lations] PROVIDED THAT THE APPLICANT  SHALL  SATISFY  THE  UNDERGRADUATE
 CURRICULUM  SEMESTER  HOUR  REQUIREMENTS  FOR THE SPECIFIED SUBJECTS SET
 FORTH IN THE COMMISSIONER'S REGULATIONS; OR
   B. A CURRICULUM OF AT LEAST ONE HUNDRED  FIFTY  SEMESTER  HOURS  IN  A
 PROGRAM  IN  ACCOUNTANCY,  PROVIDED THAT THE APPLICANT SHALL SATISFY THE
 CURRICULUM SEMESTER HOUR REQUIREMENTS FOR  THE  SPECIFIED  SUBJECTS  SET
 FORTH IN THE COMMISSIONER'S REGULATIONS;
   (3) Experience: [have]
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11185-08-5
 A. 7613--B                          2
 
   PRESENT  EVIDENCE OF COMPLETION OF THE FOLLOWING experience, satisfac-
 tory to the board of regents and in accordance with  the  commissioner's
 regulations:
   (I)  TWO  YEARS  OF ACCEPTABLE FULL-TIME EXPERIENCE, OR THE EQUIVALENT
 THEREOF, FOR AN APPLICANT WHO IS APPLYING FOR LICENSURE ON THE BASIS  OF
 THE  EDUCATION  DESCRIBED  IN  SUBPARAGRAPH  A  OF PARAGRAPH TWO OF THIS
 SUBDIVISION; OR
   (II) ONE YEAR OF ACCEPTABLE FULL-TIME EXPERIENCE,  OR  THE  EQUIVALENT
 THEREOF,  FOR AN APPLICANT WHO IS APPLYING FOR LICENSURE ON THE BASIS OF
 THE EDUCATION DESCRIBED IN SUBPARAGRAPH  B  OF  PARAGRAPH  TWO  OF  THIS
 SUBDIVISION;
   (4)  Examination: pass a written examination satisfactory to the board
 and in accordance with the commissioner's regulations, PROVIDED THAT THE
 REQUIRED EDUCATIONAL ATTAINMENT FOR SUCH EXAMINATION SHALL NOT BE GREAT-
 ER THAN THAT SET OUT IN SUBPARAGRAPH A OF PARAGRAPH TWO OF THIS SUBDIVI-
 SION, and the requirement with respect to such examination  may  not  be
 waived;
   § 2. Subdivision 2 of section 7406 of the education law, as amended by
 chapter 456 of the laws of 2011, is amended to read as follows:
   2. Practice privilege. a. Except as otherwise provided in subparagraph
 two  or three of paragraph [f] E of this subdivision, a certified public
 accountant, licensed by another state [which the board  of  regents  has
 determined  to have substantially equivalent certified public accountant
 licensure requirements, or whose individual licensure qualifications are
 verified by the department to be substantially equivalent to New  York's
 requirements,  and  in good standing], who intends to perform any of the
 services in subdivision  one,  two  or  three  of  section  seventy-four
 hundred  one  of  this  article  may practice public accountancy in this
 state, if the certified public accountant:
   (1) holds a valid license to practice public accountancy WHICH  IS  IN
 GOOD STANDING in the other state, [and]
   (2) practices public accountancy in another state that is [his or her]
 SUCH CERTIFIED PUBLIC ACCOUNTANT'S principal place of business,
   (3)  HAS COMPLETED EITHER OF THE PROFESSIONAL EDUCATION AND EXPERIENCE
 REQUIREMENTS AS DESCRIBED IN PARAGRAPHS TWO AND THREE OF SUBDIVISION ONE
 OF SECTION SEVENTY-FOUR HUNDRED FOUR OF THIS ARTICLE, AND
   (4) HAS PASSED THE WRITTEN EXAMINATION DESCRIBED IN PARAGRAPH FOUR  OF
 SUBDIVISION ONE OF SECTION SEVENTY-FOUR HUNDRED FOUR OF THIS ARTICLE.
   b. The practice privilege allows such certified public accountant, who
 meets  the  requirements  of paragraph a of this subdivision to practice
 public accountancy in this state.
   c. An individual who has been granted practice privileges  under  this
 section  who  performs  any of the services in subdivision one or two of
 section seventy-four hundred one of this article may only do so  through
 a  firm  which  has  obtained  a registration under section seventy-four
 hundred eight of this article. Such an individual, as well as  an  indi-
 vidual  with  a  New York license who does not have a principal place of
 business in New York, may  provide  services  in  subdivision  three  of
 section  seventy-four  hundred  one  of  this  article through a firm of
 certified public accountants that does not have a registration  in  this
 state but that holds a valid license, registration, or permit in another
 state.
   d.  Any certified public accountant who practices in this state pursu-
 ant to this section, and any firm that  employs  such  certified  public
 accountant  to provide such services in New York, consents to all of the
 following as a condition of the exercise of such practice privilege:
 A. 7613--B                          3
 
   (1) to the personal and subject matter jurisdiction  and  disciplinary
 authority  of  the  board  of  regents as if the practice privilege is a
 license, and an individual with a practice privilege is a licensee;
   (2) to comply with this article, the rules of the board of regents and
 the regulations of the commissioner; and
   (3) to the appointment of the secretary of state or other public offi-
 cial  acceptable to the department, in the certified public accountant's
 state of licensure or the state in which  the  firm  has  its  principal
 place  of  business,  as the certified public accountant or firm's agent
 upon whom process may be served in  any  action  or  proceeding  by  the
 department against such certified public accountant or firm.
   e.  [For purposes of this subdivision, the board of regents may deter-
 mine that nationally-recognized certified  public  accountant  licensure
 requirements  are  substantially  equivalent to New York's requirements,
 such that an individual licensed in a state determined to have licensure
 requirements substantially equivalent to the  nationally-recognized  CPA
 licensure  requirements, or an individual whose licensure qualifications
 are determined to be substantially equivalent to  the  nationally-recog-
 nized CPA licensure requirements, may practice under the practice privi-
 lege pursuant to the requirements contained in this subdivision.
   f.]  (1)  A  person  who wishes to practice public accountancy in this
 state but does not meet the requirements of paragraph a of this subdivi-
 sion is subject to the full licensing and registration  requirements  of
 this article.
   (2)  In  the  event  the license from the other state of the certified
 public accountant's principal place of business is no longer valid or in
 good standing, or that the certified public accountant has had any final
 disciplinary action taken by the licensing or disciplinary authority  of
 any  other  state concerning the practice of public accountancy that has
 resulted in (i) the suspension or revocation of [his or her] SUCH CERTI-
 FIED PUBLIC ACCOUNTANT'S license,  or  (ii)  other  disciplinary  action
 against  [his  or  her]  SUCH CERTIFIED PUBLIC ACCOUNTANT'S license that
 arises from (a) gross negligence, recklessness or intentional wrongdoing
 relating to the practice of public accountancy, (b) fraud  or  misappro-
 priation of funds relating to the practice of public accountancy, or (c)
 preparation,  publication,  or  dissemination  of  false, fraudulent, or
 materially incomplete or misleading  financial  statements,  reports  or
 information  relating  to the practice of public accountancy, the certi-
 fied public accountant shall cease offering  to  perform  or  performing
 such  services  in this state individually and on behalf of [his or her]
 SUCH CERTIFIED PUBLIC ACCOUNTANT'S firm, until and unless such certified
 public accountant receives written permission  from  the  department  to
 resume  the  practice  of  public  accountancy in this state pursuant to
 subparagraph three of this paragraph.
   (3) Any certified public accountant who, within the last seven  years,
 immediately  preceding  the  date  on  which  [he or she] SUCH CERTIFIED
 PUBLIC ACCOUNTANT wishes to practice in  New  York,  (i)  has  been  the
 subject of any final disciplinary action taken against [him or her] SUCH
 CERTIFIED  PUBLIC  ACCOUNTANT by the licensing or disciplinary authority
 of any other jurisdiction with respect to any  professional  license  or
 has  any charges of professional misconduct pending against [him or her]
 SUCH CERTIFIED PUBLIC ACCOUNTANT in any other jurisdiction, or (ii)  has
 had  [his  or  her]  SUCH CERTIFIED PUBLIC ACCOUNTANT license in another
 jurisdiction  reinstated  after  a  suspension  or  revocation  of  said
 license,  or (iii) has been denied issuance or renewal of a professional
 license or certificate in any other jurisdiction for  any  reason  other
 A. 7613--B                          4
 
 than  an inadvertent administrative error, or (iv) has been convicted of
 a crime or is subject to pending criminal charges in  any  jurisdiction,
 shall  so notify the department, on a form prescribed by the department,
 and  shall not practice public accountancy in this state under paragraph
 a of this subdivision until [he or she] SUCH CERTIFIED PUBLIC ACCOUNTANT
 has received from the department written permission to do so. In  deter-
 mining whether the certified public accountant shall be allowed to prac-
 tice  in this state, the department shall follow the procedure to deter-
 mine whether an applicant for licensure  is  of  good  moral  character.
 Anyone failing to provide the notice required by this paragraph shall be
 subject to the personal and subject matter jurisdiction and disciplinary
 authority  of  the  board  of  regents as if the practice privilege is a
 license, and an individual with a practice privilege is a licensee,  and
 may  be  deemed  to  be  practicing  in  violation of section sixty-five
 hundred twelve of this title.
   [g.] F. (1) Notwithstanding subparagraph two of paragraph  a  of  this
 subdivision  or  any  other  inconsistent law or rule to the contrary, a
 certified public accountant licensed by another state and in good stand-
 ing who otherwise meets the practice privilege requirements  under  this
 section  and  files  an application for licensure under section seventy-
 four hundred four of this article may continue to  practice  under  such
 privilege  for a period coterminous with the period during which [his or
 her]  SUCH  CERTIFIED  PUBLIC  ACCOUNTANT'S  application  for  licensure
 remains  pending  with  the  department,  including any period after the
 certified public accountant establishes a principal place of business in
 New York while [his or her] SUCH CERTIFIED PUBLIC ACCOUNTANT'S  applica-
 tion is pending.
   (2)  Nothing  in this section shall limit the applicability of section
 seventy-four hundred seven of this article.
   § 3. This act shall take effect twelve  months  after  it  shall  have
 become a law.
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